When an organization buys control of one or more businesses, the result is the Combination of Businesses, included in CPC 15. This process is also called PPA in the professional jargon (from the English “purchase price allocation”).
In this case, the buyer must account for this combination by applying the acquisition method, which requires:
This is a complex process that requires valuation and fair value of tangible and intangible assets and liabilities acquired.
Setape has experience in PPA processes, based on its ample experience in evaluation of tangible and intangible assets.